Back to Glossary
Underwriting
Updated
January 19, 2023
The process by which a lender determines whether a potential borrower qualifies for a loan based on their credit score, employment status, assets, and other factors. This process will match what is known as the risk of the client to an appropriate interest rate, term length, and the loan amount.
Related Topics
Navigating the Process of Mortgage Modification
What Is Non-Recourse Lending?
What Is a Short Sale?
When Is the First Mortgage Payment Due?
What Does Foreclosure Mean?
What Is a HELOC Loan?
Loan Default
Financial Considerations (For First-Time Home Buyers)